Feeds

HMRC online tax systems slammed by Private Forum for Biz

SME trade body brands tax system 'complex and unwieldy'

  • alert
  • submit to reddit

The essential guide to IT transformation

HM Revenues and Customs' sprawling online tax systems are not up to the job and small biz folk are paying the price, says the Forum of Private Business (FPB).

Talking in the wake of Treasury's sub-committee critical report into the administration and effectiveness of HMRC, the FPB reckons red tape is strangling small business efforts to comply with tax regulations.

Tax advisor to FPB Andrew Needham described the tax system as inefficient because it was pinned down bureaucracy, "including complex and unwieldy online procedures".

FPB highlighted cases where HMRC staff were not sent on courses to deal with electronic VAT returns, "why no staff training or automated systems were put in place is mystifying".

It added that extended verification for VAT registration was taking up to 50 days to complete and it was the little guys that were being made to suffer due to HMRC's shortcomings.

"Late monthly PAYE payments now attract penalties at a time when cash flow for small businesses is the worst it has been in 20 years," said FPB.

"In the good old days tax inspectors actually tried to help the tax-paying public by providing advice. They used to be called the Civil Service. We now get no service at all - we are just battered by rising compliance costs."

As revealed last month, HMRC is trying to save £235m from changes to IT services in a bid to chop its budget by 25 per cent, so simplifying online systems is not a priority. ®

Boost IT visibility and business value

More from The Register

next story
Kate Bush: Don't make me HAVE CONTACT with your iPHONE
Can't face sea of wobbling fondle implements. What happened to lighters, eh?
Assange™: Hey world, I'M STILL HERE, ignore that Snowden guy
Press conference: ME ME ME ME ME ME ME (cont'd pg 94)
Caught red-handed: UK cops, PCSOs, specials behaving badly… on social media
No Mr Fuzz, don't ask a crime victim to be your pal on Facebook
Ballmer leaves Microsoft board to spend more time with his b-balls
From Clippy to Clippers: Hi, I see you're running an NBA team now ...
Online tat bazaar eBay coughs to YET ANOTHER outage
Web-based flea market struck dumb by size and scale of fail
Amazon takes swipe at PayPal, Square with card reader for mobes
Etailer plans to undercut rivals with low transaction fee offer
Call of Duty daddy considers launching own movie studio
Activision Blizzard might like quality control of a CoD film
US regulators OK sale of IBM's x86 server biz to Lenovo
Now all that remains is for gov't offices to ban the boxes
XBOX One will learn to play media from USB and DLNA sources
Hang on? Aren't those file formats you hardly ever see outside torrents?
prev story

Whitepapers

5 things you didn’t know about cloud backup
IT departments are embracing cloud backup, but there’s a lot you need to know before choosing a service provider. Learn all the critical things you need to know.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Build a business case: developing custom apps
Learn how to maximize the value of custom applications by accelerating and simplifying their development.
Rethinking backup and recovery in the modern data center
Combining intelligence, operational analytics, and automation to enable efficient, data-driven IT organizations using the HP ABR approach.
Next gen security for virtualised datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.